14% rally in one session, historic records and the gold-silver ratio ringing a bell in the markets.
Also known as the Devil's metal, silver is currently on a wild rally. With gains of 14%, it is achieving its highest daily rise since March 19, 1985.
The price reached intraday up to $115.50 per ounce. At a new all-time high, just as gold was breaking the 5,100 barrier.
This move is not only impressive in absolute terms. It is also structurally unusual. The gold-to-silver ratio has fallen below 50 points for the first time since 2012. Silver is therefore trading at its highest relative level against gold in almost 14 years. And that for some is cause for concern.
When silver «catches up» with gold
Over the past year, gold has strengthened by about 80%, reaching $5,100 per ounce. While silver has soared by 250%, topping $110. Historically, the gold-silver ratio has hovered near 70 points. And it has retreated below 50 in just 6% of sessions from 1985 to date.
The last time something similar happened was during the Fed's monetary easing and «Operation Twist». In 2011-2012, when markets were worried that central banks were running out of conventional tools.
Geopolitics, debt and distrust of the dollar
The broader environment partly explains the rally. Wars in Europe and the Middle East, renewed Sino-American trade tensions, ballooning US debt and persistent inflation are boosting demand for non-sovereign assets.
It is no coincidence that at the World Economic Forum in Davos, Canadian Prime Minister Mark Carney warned that the «rules-based international order» is beginning to disintegrate. In such times, precious metals act as a refuge of confidence.
Where the difficult questions begin
Although the macroeconomic background supports the high prices, the speed of silver's rise is a concern. As of early 2026, the metal has already gained 40%, after rising 147% in 2025. With key drivers being retail markets, inflows into ETFs and physical stock tightness in London.
At the same time, COMEX inventories have fallen by 114 million ounces from the October highs. However, analysts believe that normalising liquidity and outflows from US stocks may ease pressure on the market.
Bank of America believes that a «fundamentally justified» price for silver is close to $60, suggesting that levels above $100 reflect momentum and positioning rather than pure industrial demand - especially as consumption from the PV sector appears to have peaked already in 2025.
What «return to normality» means»
A reset of the gold-silver ratio to its historical average of 70 points could happen in two ways: either by silver falling towards $72 (~35% dip), or by gold rising towards $7,700 per ounce.
Neither scenario is immediate or certain. However, when a historically rare imbalance persists, markets begin to discount corrections.
Silver is having a historic moment, but from here on out the question is not whether it can go up further - it is how durable is this rise once money becomes more selective and the market starts to separate fundamental value from excess.
Source: www.naftemporiki.gr
